Google is significantly boosting its bet on the future of artificial intelligence, committing an additional $1 billion to AI developer Anthropic, Bloomberg reports, citing sources familiar with the deal.
This new investment further solidifies Google’s position as a major backer of the San Francisco-based startup, a key competitor to OpenAI.
The latest injection of funds comes on top of the more than $2 billion Google has already invested in Anthropic, according to a person familiar with the matter who requested anonymity. This ongoing financial support is coupled with a business agreement that allows Anthropic access to a range of Google’s online tools and services. Anthropic also counts Amazon.com Inc. among its biggest investors.
Anthropic is primarily known for its Claude family of large language models, which are direct rivals to OpenAI’s offerings. Like its peers in the rapidly evolving AI landscape, Anthropic has been aggressively raising capital to fund the substantial computing resources needed to stay competitive.
The new funding comes just weeks after a Bloomberg News report indicated that Anthropic was in advanced negotiations to raise $2 billion in a funding round led by Lightspeed Venture Partners, potentially valuing the company at a staggering $60 billion.
The additional investment from Google, first reported by the Financial Times, arrives amid growing competition in the AI sector. Notably, OpenAI, Microsoft Corp. and Oracle Corp. are reportedly collaborating on a massive $100 billion AI datacenter project dubbed “Stargate,” which will involve collaboration with SoftBank Group Corp. and other backers. This project underscores the scale and intensity of the race to develop and deploy advanced artificial intelligence.
Google’s continued investment in Anthropic signals the tech giant’s determination to maintain a strong position in the AI race by diversifying its portfolio and supporting a major rival to OpenAI, a company also backed by Microsoft.
